Survival Tactics at Ethicon Endo-Surgery

Cindy Meisner

Ethicon Endo-Surgery, Inc.

SLA Pharmaceutical & Health Technology Division

Spring Meeting

April 5, 2005

Challenges

• Intense scrutiny

• Slashed headcount

• Decreased budget

• Increased competition

Device/Ethicon Challenges

• Non-traditional role• Elimination/outsourcing of specialist

roles– Materials specialists– Patent specialists– Standards specialists– Biocompatibility specialists– Information technology specialist

Solutions

• Outsourced services

• Elimination of low-value services

• Virtual transition

• Branding

• Differentiation

• Alignment with client processes

But…

• Did not want to cut more services

• Wanted to add more services

• Only 2 people

Thoroughly examined all skill sets, roles, and responsibilities

Changes

• Added new roles:– Business Relationship Manager – Information technology specialist– Graphic artist

And…

Outsourced everything

Yes, everything

But we manage the outsourcing

and

Our sphere of influence is extended

Services

• Virtual library

• Custom research

• Monitoring & alerting

• Training, programming & consulting

Ethicon Roles

• Team Leader– Business relationship

management– Planning– Administration– Budget– Consulting & training

services

• Analyst (Project Manager)– Electronic resources

management– Vendor relations– Research services– Monitoring & alerting

services

#1Outsource to End-users

#2 Consultant Network:The Inner Circle

• Four research consultants

• Technical consultant

• Graphic designer/library and user services

#3 Expanded Consultant Network

• Patent research consultant

• Four consulting firms

Inner Circle Investment

• EES email address

• Access to EES/J&J network

• Laptop with remote access

• Passwords for premium sources

• Provide full-time work

• 30 hours for professional development

Inner Circle Investment, cont.

• Office space for non-remote consultants

• PO and supplier management (secrecy agreements, etc.)

• Team meetings

• Team building events

ROI

• Loyal and committed partners

• Knowledge of the business

• Fast turnaround

• Professional camaraderie

Customer Benefit

• Saves time, money, effort

• Provides turnkey service

• Consistent results

• High quality results

Challenges

• Recruit and select right team

• Develop effective and efficient processes

• Manage relationships

• Communicate! Communicate! Communicate!

Process for Engagement

• Ethicon associate initiates project and partners with client (gathers requirements, etc.)

• Ethicon associate gives project requisition to consultant

• Consultant delivers results to client and/or Ethicon associate

• Consultant sends completed requisition to Ethicon associate

• Ethicon associate records project data and monitors client satisfaction

Outlook

• # of Ethicon employees will not increase

• # of consultants will likely increase

• Company information function will remain